American Oil and Gas Reporter - July 2017 - 102

ConventionSection: Texas Independent Producers & Royalty Owners
industry best practices," Longanecker
confirms.
The legislature appropriated $4 million
in 2015 to purchase and deploy seismic
monitoring equipment for the program
run by the Bureau of Economic Geology
at the University of Texas.
"We support putting that program into
statute to ensure it will exist for the long
term," Longanecker says, adding, "We
were disappointed there was no dedicated
funding approved for TexNet. The legislature did appropriate base-line funding
for BEG, which can be used to support
the TexNet program. Hopefully, the university can absorb any associated cost of
continuing that program."
Other legislation important to TIPRO
that passed the legislature this year, Longanecker mentions, includes HB 1643,
which adds upstream oil and gas facilities
to those protected from unauthorized
drone activity; making sure the industry
wasn't negatively impacted by HB 2377,
related to developing brackish groundwater; and extending the Texas Emission
Reduction Program (TERP).

Longanecker explains that current law
protects critical infrastructure such as refineries, power plants, chemical plants
and water treatment facilities from unauthorized flyovers. HB 1643 expands the
definition of protected infrastructure to
include oil and gas drilling sites, storage
tanks, wells, and facilities with active
flares, he says.
Longanecker also notes TIPRO worked
closely with House Natural Resources
Chairman Lyle Larson, R-San Antonio,
who authored SB 2377, to incorporate
language to ensure the industry's current
use of brackish water would not be
affected by the bill passed to enable
groundwater conservation districts to develop permitting rules for beneficial use
of brackish groundwater. However, Governor Abbott vetoed the bill on June 15.
Regarding TERP, Longanecker says
a substantial amount of language included
in SB 26 was amended into SB 1731 and
passed late in the session to extend the
TERP program until the end of the biennium in which Texas attains the National
Ambient Air Quality Standard for ground-

level ozone. Important to TIPRO, he
says, the bill expands TCEQ's New Technology Implementation Grant Program
to include emission-reduction technologies
in both the upstream and downstream oil
and gas sectors, and it renews the state's
incentives for converting state fleets to
run on compressed natural gas, liquefied
petroleum gas, or electric drive.

RRC Oil Field Relief
Turning to state regulatory issues,
Longanecker recalls that last August,
RRC now-Chairwoman Christi Craddick
announced the Texas Oilfield Relief Initiative to reduce unnecessary regulatory
burdens placed on operators in the Lone
Star State. In November, the commission
eased the definitions of inactive wells
subject to plugging requirements under
Statewide Rule 15, and modified its rules
regarding natural gas well deliverability
tests under SWR 28 (AOGR, December
2016, pg. 18).
Other recommendations on the initiative
remain a work in progress, Longanecker
says. One recommendation was to identify

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American Oil and Gas Reporter - July 2017

Table of Contents for the Digital Edition of American Oil and Gas Reporter - July 2017

Contents
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